Norwegian Air Celebrates One-Year Anniversary of U.S. Service – And Sets the Record Straight About its Operation

Norwegian Air has for the past year offered
100,000 Americans the ability to fly affordably between the United States and
Scandinavia on its fleet of brand new Boeing 787 Dreamliners. Norwegian has
also carried 200,000 passengers to the U.S., giving a boost to American tourism.

The airline has created hundreds of new
jobs in the air as well as thousands on the ground in the travel- and
tourism-related industries. The airline has been very well received by the
travelling public; high-profile politicians, tourism authorities and local
governments have also given their support.

Unfortunately the labor unions and U.S. airlines are continuing
to do everything they can to block the competition.

A few decades ago, flying domestically in the U.S. was limited to the
wealthy few. The entry of low-cost carriers such as Southwest Airlines and
JetBlue has made travelling from coast to coast easier and more affordable for
everyone. In addition, the arrival of the low-cost carriers has created
millions of new jobs in the travel and tourism industry.

Norwegian believes that
competition on intercontinental flights is long overdue. Flights between the
U.S. and Europe have traditionally been way too expensive. Why should a flight between
New York and Europe cost three times as much as a flight between New York and
Los Angeles? The flight to Europe is only about an hour longer, sometimes even
less. That’s why Norwegian launched record low fares in May last year starting
at $99 one-way with industry-leading non-stop service on the Boeing 787
Dreamliner between the U.S. and Scandinavia. Passengers are thrilled about the
ability to fly affordably and comfortably on the company’s non-stop service
from New York; Fort Lauderdale; Orlando; Los Angeles and San Francisco to
Europe. Competitors and the unions, on the other hand, are using foul play trying
to stop Norwegian.

Airline Pilots Organization (ALPA), other labor
unions and several U.S. airlines have over the past months made a
number of false and misleading allegations about Norwegian in the media, to the
Department of Transportation (D.O.T.) and to members of Congress. This is a
frantic attempt at blocking competition, consequently preventing the American
people access to affordable airfare to Europe and blocking the creation of new
jobs in America.

Below is a brief Q&A that responds to some of
the most serious accusations.

Accusation #1: Norwegian has established its subsidiary
Norwegian Air International (NAI) in Ireland as a “Flag of convenience” and to
circumvent the labor laws of Norway and the U.S. labor laws.

Truth #1: Absolutely not. Norwegian has established
its long-haul company in Dublin for several reasons. The main reason is access
to future traffic rights to and from the EU (Norway is not a member of the EU).
Norwegian has more than 260 aircraft on order and the route network will
expand rapidly in the years to come. Another important
reason for choosing Ireland, and not another country within the EU
(though several other European countries – including the UK
and Sweden - were considered), is because Ireland has decided to fully adapt the
Cape Town Convention, which provides Norwegian with better financing
conditions. Furthermore, Norwegian’s establishment
in Ireland does not affect export guarantees in connection with our financing.
As well as offering one of the highest ranked civil aviation authorities in the
world, Ireland is also a considerable cluster for the aviation industry; major
leasing companies that Norwegian cooperates with have offices in Dublin.

It is important to stress that Ireland was not chosen because the country has
specific rules and regulations that allow the use of American or Asian crew,
like some politicians and unions have claimed. The fact is that Norwegian could
have based its long-haul company in any other European country and still used
American and Asian crew, the way several other European airlines have been
operating for years.

Norwegian’s employees in the U.S. follow
U.S. labor laws, the company’s employees in Norway follow Norwegian labor laws
and employees in the UK follow UK labor lows, etc. The airline fully complies
with European safety standards (EASA) and its crews are trained according to EU standards and the
company’s own additional training programs. Ireland, where the long-haul
company is located, has one of the highest ranked civil aviation authorities in
the world.

Accusation #2: Norwegian
is offering substandard working conditionsTruth #2: Norwegian always follows the rules and regulations in all the markets
we operate, offering competitive wages and conditions. We assume that our
U.S. competitors do the same when hiring crews in for instance South America.

Norwegian has already employed more than 300
American cabin crew members in Fort Lauderdale and New York, and is currently
recruiting New York-based pilots for its 787 Dreamliner operation. Norwegian received
almost 6,000 applicants for its 300 cabin crew positions. The company’s American
employees say that their wages and benefits are superior to those of their counterparts
at U.S. airlines. Pilots flying intercontinentally have a global pay scale,
which means that a long-haul pilot based in Norway makes about the same as a
long-haul pilot based in Asia or the U.S. See interview with one of our colleagues here.

Accusation #3:Norwegian’s business model compromises
safety

Truth #3: Norwegian has been running
a safe airline operation since 1993 with no registered accidents or major
incidents. Safety has always been the company’s number one priority. The
company fully complies with European safety standards (EASA) and its crews are
trained according to EU standards and the company’s own additional training
programs. Ireland, where the long-haul company is located, has one of the
highest ranked civil aviation authorities in the world.

Accusation #4: Norwegian is government-sponsored

Truth #4: Norwegian is 100 percent privately owned and has never received any
government subsidies.

Accusation #5: Norwegian’s Singapore company is set up to legalize
sub-standard pilot conditions

Truth #5: Norwegian’s Singapore company is the primary pilot recruitment vehicle
in Asia. Singapore offers a business friendly environment and its government
has extensive experience cooperating with western companies. As our operation
grows, we will establish more pilot bases. We are currently recruiting in New
York and are also considering London.

Accusation #6: Norwegian is union hostile

Truth #6:No. A majority of Norwegian’s pilots and cabin crew members in
Scandinavia are union members. Technicians and administrative employees are
also union members.

Accusation #7: Norwegian doesn’t comply with the Open Skies Agreement

Truth #7: Incorrect. Norwegian meets
all the legal and regulatory requirements in the Open Skies Agreement
between the U.S. and the EU.

The legacy carriers did
everything in their power to stop low-cost carriers like Southwest Airlines to
enter the domestic skies. Now history is repeating itself as an airline from
Norway is taking on the big guys in order to offer everyone affordable flights
across the Atlantic. If the authorities listen to the legacy carriers and the
unions, the losers will be customers who will be left with no other option than
airlines that offer astronomic fares and poor in-flight service. The American
people deserve to have a choice.

Norwegian Air Shuttle ASA, commercially branded “Norwegian”, is a low-cost airline listed on the Oslo Stock Exchange. Norwegian is the second largest airline in Scandinavia and third largest low cost carrier in Europe. More than 20 million passengers fly on its network per year. Norwegian has a route portfolio that stretches across Europe into North Africa and the Middle East, as well as long-haul flights to the US and Southeast Asia. The company has a total of 416 routes to 126 destinations and employs approximately 4,500 people in Norway, Sweden, Denmark, Finland, Estonia, UK, Spain and Thailand. The company has 258 undelivered aircraft on firm order. Norwegian was founded in 1993 and its headquarter is in Fornebu, Norway. In 2013, Norwegian was voted Europe’s best low-cost carrier of the year by the renowned SkyTrax World Airline Awards. Norwegian offers better leg room than most competitors, in-flight WiFi, world-class punctuality and a fleet of 94 aircraft with an average age of only 4.8 years.